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Dana Gas' assets in Egypt attract large interest - Mubaideen

Dana Gas' assets in Egypt attract large interest - Mubaideen
The company’s production from Egypt exceeds 34,000 boepd
Dana Gas
DANA
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By: Mahmoud Gamal

Cairo – Mubasher: The assets of Dana Gas, listed on the Abu Dhabi Securities Exchange (ADX), attract large interest from parties that are considering to purchase them, the company’s head of investor relations Mohammed Mubaideen told Mubasher.

"Depending on the received offers from these interested companies and the realised return of these offers, the company will make a decision in relation to its strategic review which could lead to fully or partially selling its assets in Egypt," Mubaideen highlighted, adding that "The deadline for receiving offers is mid-November."

Currently, the company’s production from Egypt exceeds 34,000 barrels of oil equivalent per day (boepd).

Dana Gas billed $58 million in Egypt and collected $81 million in payments, lowering its receivables to $117 million at the end of the first half of 2019.

The natural gas firm aims to contribute to strengthening Egypt’s position as an international gas hub, Mubaideen remarked.

Over its twelve-year presence in the North African nation, Dana Gas drilled over 50 offshore and onshore wells, he noted, adding that the actual production of the company was raised by 50%.

Dana Gas aims to exit the Egyptian market as part of its plan to develop its assets in Iraq, which account for more than 90% of the company’s proved and probable reserves that exceed 1 billion barrels of oil equivalent, and raise the daily production to 900 million feet from 400 million, Mubaideen revealed.

It is noteworthy that the Sharjah-based firm hired the US-based investment bank Tudor, Pickering, Holt & Co. (TPH) to advise on the sale of its Egyptian assets which are valued at more than $500 million.